Saudi Arabia’s Real Estate Market Opens to Foreign Buyers — A Historic Shift

I really think this is an exciting opportunity for overseas buyers. It reminds me of my early days when i began promoting Dubai real estate now we have an outstanding opportunity just as exiting.

With the approval of the Law of Real Estate Ownership by Non-Saudis (Royal Decree M/14, 2025), Saudi Arabia has officially opened the door for international investors to buy property across the Kingdom.

This new law — analysed in detail by White & Case — marks a major turning point in Middle Eastern real estate:
🔗 https://www.whitecase.com/insight-alert/saudi-arabia-approves-landmark-real-estate-ownership-law-non-saudis

Additional legal analysis confirming the scope of the new ownership rules can be found here (Greenberg Traurig):
🔗 https://www.gtlaw.com/en/insights/2025/7/saudi-arabia-enacts-new-real-estate-foreign-ownership-law-a-calibrated-opening-for-foreign-investors

From early 2026, foreigners will be able to buy:

• Residential property
• Commercial buildings
• Industrial property
• Agricultural land
• Land plots
• Property within giga-projects (NEOM, Red Sea, Diriyah Gate)
• Properties in Mecca & Madinah (Muslim buyers only)

This is a once-in-a-generation opening, fully aligned with Saudi Arabia’s Vision 2030 transformation.

Why Saudi Arabia Is Becoming a Global Property Hotspot

1. Massive Infrastructure Investment Under Vision 2030

Saudi Arabia is delivering some of the largest real-estate projects in the world — including NEOM, The Line, Trojena, Qiddiya and the Red Sea Project.

Coverage from Global Finance Magazine highlights how liberalisation is tied to Saudi’s economic diversification:
🔗 https://gfmag.com/economics-policy-regulation/saudi-arabia-liberalizing-the-real-estate-market/

These projects create sustained demand for:

• Housing
• Commercial property
• Logistics & industrial space
• Tourism real estate
• High-end luxury developments

With foreign ownership now permitted, global investors can finally participate in this growth.

Saudi Arabia vs Dubai Property Prices (2025): A Clear Value Opportunity

One of the most frequently asked questions:

“Is Saudi Arabia cheaper than Dubai?”

Yes — significantly. And the data proves it.

Saudi vs Dubai Price Comparison (2025)

DXB Off Plan published a direct comparison showing average central Riyadh prices at ~SAR 9,000/m² versus Dubai’s AED 15,000–25,000/m²:
🔗 https://dxboffplan.com/buying-property-in-dubai-vs-saudi-arabia/

Knight Frank’s Q2 2025 Saudi Residential Market Report shows Jeddah apartments averaging SAR 4,324/m²:
🔗 https://www.knightfrank.ae/research

The Times UK reported that:

“Luxury villas in Dubai can cost between three and ten times more per square metre than similar properties in Saudi Arabia.”
🔗 https://www.thetimes.co.uk/article/why-luxury-saudi-homes-are-being-sold-in-harrods-9l08crbd5

Rental Yields

Saudi yields outperform Dubai:

• Riyadh ≈ 9%
• Jeddah ≈ 8%
• Dubai ≈ 6–7%

Source (Nevestate investment report):
🔗 https://nevestate.com/uncategorized-en/saudi-arabia-real-estate-investment-2025/

Conclusion:
Saudi Arabia offers lower entry prices, stronger yields, and early-cycle capital appreciation potential.

Where to Invest in Saudi Arabia (2025–2030)

1. Riyadh – The Growth Capital

Riyadh is undergoing a transformation fuelled by:

• Corporate relocations
• Government consolidation
• New business districts
• Better transport infrastructure

Knight Frank consistently identifies Riyadh as the top city for long-term price growth.

2. Jeddah – Coastal City With High Rental Demand

Mid-priced, high-yield, and strategically located.
Strong tourism and port expansion will drive long-term demand.

3. NEOM – A Future City With Extreme Upside

NEOM is one of the world’s most ambitious development projects.
Investors see this as a high-risk, high-reward long-term appreciation play.

Official NEOM info:
🔗 https://www.neom.com

4. The Red Sea Coast – Luxury, Tourism, and Lifestyle

The Red Sea Project is attracting global luxury brands and second-home buyers.
🔗 https://www.redseaglobal.com/en

Why This Is a Major Opportunity for Foreign Investors — Nick Marr

Having been involved in international property markets for many years, I believe Saudi Arabia’s opening is one of the most strategically significant opportunities today.

✔ Early-Cycle Entry

This is the first time foreigners can buy — meaning investors can enter before the international wave arrives.

✔ Prices Are Far Below Dubai

This provides room for long-term capital growth with lower risk exposure.

✔ Strong Rental Yields

Saudi Arabia’s yields are among the highest in the Gulf region.

✔ Unprecedented Infrastructure Investment

NEOM alone is a $500bn project. The scale is unmatched globally.

✔ Regulatory Clarity

The legal framework has now been aligned with international expectations.

✔ A Rising Global Power

Saudi Arabia’s increasing role in BRICS and global trade will strengthen long-term fundamentals.

I genuinely believe this is an exciting opportunity for overseas buyers — the kind that only comes around once in a generation.

External References — Clickable for Reader Verification

To ensure maximum credibility, here are all sources in one place:

Saudi Foreign Ownership Law

• White & Case – Legal Analysis
  https://www.whitecase.com/insight-alert/saudi-arabia-approves-landmark-real-estate-ownership-law-non-saudis
• Greenberg Traurig – Commentary
  https://www.gtlaw.com/en/insights/2025/7/saudi-arabia-enacts-new-real-estate-foreign-ownership-law-a-calibrated-opening-for-foreign-investors

Market Data & Price Comparisons

• DXB Off Plan – Dubai vs Saudi
  https://dxboffplan.com/buying-property-in-dubai-vs-saudi-arabia/
• Knight Frank – Saudi Residential Market Reports
  https://www.knightfrank.ae/research
• The Times UK – Saudi vs Dubai Villa Prices
  https://www.thetimes.co.uk/article/why-luxury-saudi-homes-are-being-sold-in-harrods-9l08crbd5

Yields & Investment Insights

• Nevestate – Saudi Real Estate Yields
  https://nevestate.com/uncategorized-en/saudi-arabia-real-estate-investment-2025/
• Global Finance Magazine – Market Liberalisation
  https://gfmag.com/economics-policy-regulation/saudi-arabia-liberalizing-the-real-estate-market/

Giga-Projects

• NEOM Official Website
  https://www.neom.com
• Red Sea Global
  https://www.redseaglobal.com/en